Japanese Franchising offers numerous benefits to the African market, providing opportunities for growth, education, and economic development. Learn how franchising can unlock Africa's potential.
Understanding the Population Pyramid of Africa and Japan
The shape of the human pyramid, also known as the population pyramid, is an important concept to study when considering the needs of society and the businesses that can address them. Over the past 35 years, Japan's population structure has been a focus of study, providing valuable insights into the business needs of the country. By applying this experience to other countries, such as those in Africa, we can gain valuable insights into their future population structures.
Africa's population pyramid in 2020 shares a similar shape across its countries, with the exception of South Africa. South Africa stands out as a beautiful triangle with a broad base. Studying these changes in Africa's population pyramid, along with Japan's population structure, can provide us with many hints and predictions about the future needs of African societies and the potential businesses that can meet those needs.
This is why we describe Japan as a time machine for your country. By understanding the population dynamics in Japan and how it has shaped the business landscape, we can gain valuable insights into what the future might hold for other countries, including those in Africa.
This graph is Japan in 1950. It looks spectacularly like Africa today.
What happened in Japan is a real case study.
Japan in 1950. This is in a similar fashion to many African countries: two years from 1947. In the two years following World War II, a large number of baby boomers were born. This widens the base of the triangle.
Japan has always been the birthplace of businesses that solve the problems of this Baby Boomer generation.
First of all, business for survival. Businesses related to nutrition. It was during this period that instant ramen was born. The challenge was to provide easy access to nutrition.
Next, competition for children began. The next stage was the competition among children. With so many children in the same grade, it was obvious that competition would be fierce in the future, so people began to spend money on their children's education to give themselves a better advantage. This trend will continue for a long time to come. The desire to be richer than their parents' generation is very strong, and the education business supports this desire.
As children become young adults, leisure businesses emerge that exude the energy of youth. Furthermore, housing. A business model was created to provide a large supply of inexpensive housing.
Auto sales also boomed, giving rise to a variety of automobile-related businesses. Car washes, auto accessory stores, and so on.
In addition, many roadside leisure activities accessible by car were created in the suburbs, such as family restaurants.
These were restaurants for families to enjoy.
Restaurants, which had previously been a source of livelihood, were transformed into the food service industry.
Studying these changes, along with Japan's population structure, will provide you with many hints.
We describe this as "Japan is a time machine for your country.
A time machine.
What if we could know our environment in the near future?
Moreover, in the case of Japan, actual businesses exist.
What we would like to propose is that you bring the intellectual property of these Japanese businesses back to your own countries and develop them as actual businesses.
We do not mean to imitate them superficially, but to learn everything from them and actually develop them with the same quality.
This is called franchising.
Why do we offer franchise business to you?
Here is the first reason.
Benefits of Franchising for Educating Young People
Franchising not only offers business opportunities but also serves as a way to educate young people through work. In many cases, franchise businesses have developed effective human resource training methods that can be widely disseminated. This means that young people who join these franchise businesses can receive valuable training and develop the skills necessary to become successful business owners themselves.
In the past, during the modernization of East Asia in countries like Japan and China, the light industry played a significant role in educating young people. For example, textile manufacturing provided opportunities for young people to learn valuable skills and become productive members of society. However, in Africa today, these opportunities are limited. Franchise businesses can fill this gap by offering young people the chance to receive training, gain practical experience, and eventually become business owners themselves.
Keeping Profits in Home Countries
One of the key advantages of franchising is that it allows franchisees to keep the profits in their home countries. Unlike when a foreign company enters a country to do business, franchising ensures that the profits generated from the business, along with the learning experience and human resources, stay within the local economy.
When a franchisee operates a business, they pay royalties to the franchisor, but the majority of the profits remain in their home country. This creates a win-win situation where both the franchisor and the franchisee benefit. The franchisor expands their business into new markets with minimal resources, while the franchisee has the opportunity to run a successful business that aligns with the needs and preferences of their own country.
Favorable Business Strategy for Headquarters and Franchisees
Franchising offers a favorable business strategy for both the headquarters and the franchisees involved. For the headquarters, which in this case is a Japanese company expanding into Africa, franchising provides a way to enter new markets without having to develop a concrete plan or invest significant human and financial resources upfront. By partnering with local franchisees, the headquarters can leverage their knowledge of the local market and benefit from their expertise.
On the franchisee side, joining a franchise allows them to choose a business that is well-suited to their country's needs and preferences. They become members of an established brand and receive support from the headquarters in terms of research and development. The experience of the headquarters, both successful and unsuccessful, becomes a valuable resource for the franchisee to learn from and improve their own business operations.
Recommendation for Franchising in Africa
Based on the numerous benefits mentioned above, we highly recommend franchising as a business strategy for the people of Africa. Franchising offers opportunities for growth, education, and economic development. It allows for the transfer of valuable intellectual property from successful Japanese businesses to African countries, enabling them to develop and operate businesses with the same quality and standards.
By embracing franchising, African countries can unlock their potential and create a thriving business environment. Franchise businesses not only generate profits but also contribute to the education and empowerment of young people. They provide a platform for skills development and entrepreneurship, which are crucial for the economic growth and prosperity of Africa.
It is time to seize the opportunity and embrace franchising as a catalyst for positive change and development in Africa.
